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Describe the primary advantages of applying direct write-off

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Reference no: EM131624322

Discussion Question

• Watch A. Mursau's video titled "Accounts Receivable Bad Debt Expense (Direct Write Off Method Vs Allowance Method)":

https://www.youtube.com/watch?v=r3YPSwFsIps&feature=youtu.be

• Based on the information in the video, discuss the primary advantages and disadvantages of applying the direct write-off over the allowance method of writing off accounts. Take a position on whether or not estimating the allowance for doubtful accounts provides the opportunity to distorts gross income.

• Provide support for your rationale.

Reference no: EM131624322

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